Trinidad and Tobago’s Ministry of Energy and Energy Industries (MEEI) has finalized a Production Sharing Contract (PSC) for Block Modified U(c) with BG International Limited (BGI), a subsidiary of Shell. The signing took place on 27th September 2024 at the Atlantic LNG Administrative Building in Point Fortin.
Prime Minister Dr. Keith Rowley witnessed the signing and praised both the MEEI and Shell teams for concluding negotiations swiftly. He emphasized that the government’s delivery on its promises was reflected in the efficiency of the process.
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The Ministry’s 2023 Shallow Water Bid Round began on 2nd October 2023 and closed on 27th May 2024, with BGI confirmed as the preferred bidder on 23rd August 2024. The company accepted the offer on 29th August 2024, and negotiations began on 11th September 2024. On 26th September 2024, the Cabinet approved the PSC award to BGI.
Minister of Energy and Energy Industries Stuart Young, remarked that the agreement demonstrates the government’s focus on competitiveness and investment in a volatile global energy market.
“The government continues to review and improve the fiscal regime to foster investment in the upstream,” Young said, noting that one incentive includes concessions on the Special Petroleum Tax for operators in onshore and shallow water sectors.
The successful award will lead to seismic data acquisition using the PXGEO 2 vessel, which is already in Trinidad and Tobago.
